THETRADETECH DAILY THE OFFICIAL NEWSPAPER OF TRADETECH 2021
“ The UK ’ s decision on dark trading rules could take away a complication that emerged from MiFID II .”
and as the SEC in the US has started to ask more questions regarding these vehicles . Listing can be costly and time-consuming , but safeguards are , of course , needed . If you take away the time-consuming part and some of the costs , do you remove those safeguards ? Could it be a regulatory loophole in terms of listing quickly with less insight into the actual company ? That ’ s an interesting area in terms of market structure .
What other topics are you expecting will be discussed at this year ’ s TradeTech event ? It ’ s a very quiet period for regulation that we are going through . There was a lot of movement with Brexit , but that has come and gone quite successfully . The MiFID II review is interesting , particularly from a fixed income perspective , looking at the role of MTFs and OTFs . For equities , it is quite a stable platform and everybody is relatively content . I expect the consolidated tape will be a theme and we have been discussing that since the start of MiFID I . It is frustrating that we have been discussing it for so long and nothing has been done about it . The tape should be much more insightful than just looking at the volume , I think it should go a step further and look at participants ’ market share .
In my view , it should be broken down more so we can see HFT flow as direct members , and then for sponsored access we should be able to see broker access flow , broker client flow , broker proprietary flow - and this is easy to distinguish in terms of market share . That would be very useful , particularly on volatile days as we saw back at the height of the volatility in 2020 . Some of the numbers from HFT firms show they were 70 % of the volume , which I can believe because everyone went to the order book . But if you want to go back and analyse that period you need to know how much of a part the HFT firms played in that volatility , but you wouldn ’ t be able to .
Which panel discussions are you most looking forward to attending at TradeTech this year ? I am looking forward to a number of the panels but the one regarding accelerating trading and automation will be interesting as we have been doing a lot of work in this area across multi asset over the last two to three years . It will also be interesting to hear views on crypto for institutions and the role that will play in the future .
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